Case Study: Carmencita Brunch Restaurants
Attracting Customers to One of Madrid’s Most Popular Brunch Franchises
Case Study: Carmencita Brunch Restaurants
Carmencita Brunch
Attracting Customers to One of Madrid's Most Popular Brunch Franchises
Carmencita Brunch
Attracting Customers to One of Madrid's Most Popular Brunch Franchises
CONTEXT
Carmencita Brunch is a chain of restaurants in Madrid, with four locations in Malasaña (2), Lavapiés, and La Latina, the latter two being recently opened.
It’s a pioneering project that took off in 2010 with the goal of bringing authentic American brunch to Madrid.
Over the years, it has become one of the most famous brunch spots in the capital.
THE CHALLENGE
The Lavapiés and La Latina locations recently opened in neighborhoods with a wealth of dining options, making it challenging to establish a foothold.
Carmencita Brunch hired Fáktica Analytics in March 2022 for the Lavapiés location’s launch and in April 2023 for its most recent opening in La Latina. In both cases, beyond the strong competition, the real challenge lay in measuring the impact of our campaigns. Without a rigorous methodology, we wouldn’t be able to distinguish the effect of digital advertising from seasonal effects or word-of-mouth, which is especially important, particularly in the first few months after opening.
Carmencita Brunch is a chain of restaurants in Madrid, with four locations in Malasaña (2), Lavapiés, and La Latina, the latter two being recently opened.
It’s a pioneering project that took off in 2010 with the goal of bringing authentic American brunch to Madrid.
Over the years, it has become one of the most famous brunch spots in the capital.
THE CHALLENGE
The Lavapiés and La Latina locations recently opened in neighborhoods with a wealth of dining options, making it challenging to establish a foothold.
Carmencita Brunch hired Fáktica Analytics in March 2022 for the Lavapiés location’s launch and in April 2023 for its most recent opening in La Latina. In both cases, beyond the strong competition, the real challenge lay in measuring the impact of our campaigns. Without a rigorous methodology, we wouldn’t be able to distinguish the effect of digital advertising from seasonal effects or word-of-mouth, which is especially important, particularly in the first few months after opening.
The key to our strategy:
aligning marketing objectives with those of Carmencita.
The key to our strategy:
aligning marketing objectives with those of Carmencita.
Measuring the impact of campaigns reliably and rigorously
Google conducts automatic store visit measurement through the geolocation of users’ mobile phones who have visited the establishment after seeing or interacting with their ads. However, this service is only available to clients with a history of several months and over 100,000 monthly visits, which Carmencita Brunch did not meet.
As we explained in this blog post, pre-post (before-after) and simple difference (between two locations) analyses are common but incorrect methods, as they do not capture the impact of other external variables such as seasonal effects and word of mouth. In this case, we used the ‘difference-in-differences’ method, also explained in our blog.
Measuring the impact of campaigns reliably and rigorously
Google conducts automatic store visit measurement through the geolocation of users’ mobile phones who have visited the establishment after seeing or interacting with their ads. However, this service is only available to clients with a history of several months and over 100,000 monthly visits, which Carmencita Brunch did not meet.
As we explained in this blog post, pre-post (before-after) and simple difference (between two locations) analyses are common but incorrect methods, as they do not capture the impact of other external variables such as seasonal effects and word of mouth. In this case, we used the ‘difference-in-differences’ method, also explained in our blog.
Attracting New Customers on Weekdays
Word of mouth was already working to fill the locations on weekends, but they were empty from Monday to Friday. That’s why we focused on running campaigns only on weekdays, on non-holiday days, and targeting people who were in the neighborhood adjacent to the location. Additionally, we targeted those actively looking for places to eat or have breakfast and/or were regular customers of these types of services.
The campaigns effectively combined video, images, and text with ads on Google Search, YouTube, Discovery, Google Maps, and banners on various digital platforms.
Increasing Carmencita Brunch's Profits
A digital marketing campaign should not simply aim to generate more traffic to the website or more customers but to do so profitably, increasing your profits. The first step in achieving this is to know how much each new customer costs you and how much you earn from them.
Carmencita Brunch’s campaigns only started once a measurement system was in place that allowed us to calculate the return on each euro invested.
Attracting New Customers on Weekdays
Word of mouth was already working to fill the locations on weekends, but they were empty from Monday to Friday.
That’s why we focused on running campaigns only on weekdays, on non-holiday days, and targeting people who were in the neighborhood adjacent to the location. Additionally, we targeted those actively looking for places to eat or have breakfast and/or were regular customers of these types of services.
The campaigns effectively combined video, images, and text with ads on Google Search, YouTube, Discovery, Google Maps, and banners on various digital platforms.
Increasing Carmencita Brunch's Profits
A digital marketing campaign should not simply aim to generate more traffic to the website or more customers but to do so profitably, increasing your profits. The first step in achieving this is to know how much each new customer costs you and how much you earn from them.
Carmencita Brunch’s campaigns only started once a measurement system was in place that allowed us to calculate the return on each euro invested.
Results
Results
- +80% more customers in three months, and +200% in 12 months
- Acquisition of new customers at a cost of €2 per customer
- Returns of over 4 euros (gross profit) for every euro invested (ROI > 4)
